|By PR Newswire||
|August 19, 2014 09:30 AM EDT||
CHICAGO, Aug. 19, 2014 /PRNewswire/ -- Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include the magicJack VocalTec Ltd. (Nasdaq:CALL-Free Report), RRSat Global Communications Network Ltd. (Nasdaq:RRST-Free Report), Enzymotec Ltd. (Nasdaq:ENZY-Free Report), Gulfmark Offshore Inc. (NYSE:GLF-Free Report) and Questcor Pharmaceuticals Inc. (Nasdaq:QCOR-Free Report).
Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.
Here are highlights from Monday's Analyst Blog:
3 Israeli Stocks to Consider Selling
The conflict over the Gaza strip has dominated international headlines for quite some time now. An enduring resolution to this crisis seems elusive at the moment. Consequently, attention had shifted from Israel's economic situation, until now. Data released on Sunday shows that economic growth had declined even before the conflict in Gaza commenced.
Growth Takes a Hit
According to data released by Israel's Central Bureau of Statistics (CBS), GDP growth declined to 1.7% during the second quarter of 2014. Growth during the April to June quarter was significantly lower than the 2.5% rate recorded in the first quarter of 2014 and 2.8% in the last quarter of 2013. Israel's economy grew at 2.5% during the first half of the year.
In fact, growth is at its lowest level since the economic downturn experienced during the first half of 2009. Taking into account the fact that the country's population is growing at around 1.7% every year, per capita growth has not taken place.
A 17.7% annualized decline in service exports and a 4.5% drop in fixed investment were the major reasons for a decline in growth. The CBS has emphasized that these are initial numbers which could change once new data is taken into account. These figures come close on the heels of an increase in the unemployment rate during June. The metric increased from 5.6% in April to 6.3% in June.
Costs of War
These figures do not take into account the damage caused by the month-long conflict with Hamas. The $250-billion economy will lose heavily as a result of the continuing offensive. Foreign tourism declined 25% in July. The slump is indicative of the impact that more crucial sectors will feel.
Earlier this month, Governor of the Bank of Israel, Karnit Flug, said the current conflict would cost the economy around $1.44 billion. Speaking to Channel 10, Flug said: "The assessment is that it can reach up to around 0.5 percent of GDP, which is up to 5 billion shekels."
Ratings agency Fitch's director of sovereign ratings Paul Gamble said the budget deficit target for the year is likely to be missed. This was in consonance with views expressed in Bank of Israel's monetary report that the government would be unable to meet its deficit target of 2.5% of GDP without raising taxes or postponing government expenditure.
Defense Cuts Elusive
Greater concern was expressed by Gamble about the future impact of sustained defense spending. If conflicts of this nature occur at regular intervals over the long term, a reduction in defense spending was unlikely. Taken together with a decline in domestic demand, this phenomenon has the ability to affect the economic outlook for the country.
The Bank of Israel has lowered its interest rate significantly in an attempt to boost domestic demand. It has also emphasized that a diplomatic settlement could lift the economy. Flug said: "The potential of a diplomatic settlement for helping growth is clear, and it's also clear that a settlement could have helped." As of now, a long term settlement remains elusive, endangering growth prospects for the country.
Here we will list 3 Israel stocks that may witness further downside due to these factors. These stocks have witnessed downward estimate revisions recently. Moreover, share prices for each of these stocks have also declined considerably. These stocks carry either Zacks Rank #4 (Buy) or Zacks Rank #5 (Strong Buy).
magicJack VocalTec Ltd. (Nasdaq:CALL-Free Report) provides software-driven solutions for the deployment of next-generation, IP (Internet protocol)-based international and long-distance telephony networks and related enhanced services.
The company provides routing and business powering enhanced services. Its services include International and Long-Distance Calling, Voice VPN (virtual private network), Calling Card, Exchange Carriers and Voice-enhanced e-commerce. The stock holds a Zacks Rank #5 (Strong Sell) and earnings for the current year are projected to fall 69.3%.
Estimate Revision – magicJack has seen 1 negative revision in the last 30 days for the current quarter and current year estimates. Quarterly earnings consensus has declined from 32 cents a share to 15 cents a share. Yearly earnings consensus has dropped from $1.27 a share to 84 cents.
Share Price – The stock has lost 10.8% over the last four weeks.
RRSat Global Communications Network Ltd. (Nasdaq:RRST-Free Report) provides global, comprehensive, content management and distribution services to the rapidly expanding television and radio broadcasting industries. Through its proprietary RRsat Global Network, RRsat is able to offer high-quality and flexible global distribution services for content providers.
RRsat's comprehensive content management services include producing and playing out TV content as well as providing satellite newsgathering services (SNG). RRsat concurrently provides these services to more than 425 television and radio channels, covering more than 150 countries. The stock holds a Zacks Rank #4 (Sell) and earnings for the current year are projected to fall 26.7%.
Estimate Revision – RRSat has seen 1 negative revision in the last 30 days for the current quarter and for current year estimates. Quarterly earnings consensus has declined from 11 cents a share to 7 cents a share. Yearly earnings consensus has dropped from 44 cents a share to 33 cents.
Share Price – The stock has lost 13.9% over the last four weeks.
Enzymotec Ltd. (Nasdaq:ENZY-Free Report) manufactures medical foods and ingredients. Enzymotec's range of products are targeted at the consumer wellness and health segment and marketed to renowned global companies. The company operates through two segments, VAYA Pharma and Nutrition.
Enzymotec provides specialty lipid-based products and solutions. It serves pharmaceuticals and nutrition industries worldwide. Enzymotec, Ltd. is based in Migdal HaEmeq, Israel.
The stock holds a Zacks Rank #4 (Sell) and earnings for the current year are projected to fall 36%.
Estimate Revision – Enzymotec has seen 3 negative revisions in the last 30 days for the current quarter and 4 negative revisions for current year estimates. Quarterly earnings consensus has declined from 22 cents a share to 4 cents a share. Yearly earnings consensus has dropped from 82 cents a share to 38 cents.
Share Price – The stock has lost 37.2% over the last four weeks.
Most analysts believe that the current conflict will not have a long-term impact on the economy. Israel has experienced such troubles earlier, only to recover within months. The country has grown at around 3-4% over the last few years. Moreover, foreign investors remain interested in its hi-tech sector.
However, a diplomatic resolution to the ongoing conflict would go a long way in brightening the economic outlook. As of now, it may be a good idea to drop these stocks from your portfolio.
Gulfmark Offshore Added to S&P SmallCap 600
Gulfmark Offshore Inc. (NYSE:GLF-Free Report), the provider of offshore marine support and transportation services, will replace Questcor Pharmaceuticals Inc. (Nasdaq:QCOR-Free Report) in the S&P SmallCap 600 after the close of trading on Monday, Aug 18.
To be included in S&P 600, a company needs to fulfill certain criteria. Its market capitalization needs to be between $400 million to $1.8 billion. As of Aug 15, 2014, the market capitalization of Gulfmark Offshore was $1.06 billion. Subject to review periodically to assure uniformity with market conditions, the market cap of a prospective addition to an index is viewed in the context of its short and medium term historical trends, along with that of the industry.
The company needs to have sufficient liquidity and a reasonable price. The ratio of annual dollar value traded to float adjusted market capitalization should be 1.00 or greater. Moreover, the company should trade at least 250,000 shares in each of the six months leading up to the evaluation date.
For index purposes, a U.S. company ought to have the following characteristics as well. It should file 10-K annual reports and should not be considered a foreign entity by the SEC. The U.S. portion of fixed assets and revenues must comprise a majority of the total, but need not be above 50%. When there is an inconsistency among these factors, assets establish plurality. Revenues determine plurality when there is incomplete asset information. The company should follow a corporate governance structure in line with the U.S. practice.
The stock should be primarily listed in the NYSE (including NYSE Arca and NYSE MKT), the NASDAQ Global Select Market, the NASDAQ Select Market or the NASDAQ Capital Market. ADRs are not qualified for addition. The public float of the stock should be a minimum of 50%. The total of the trailing four quarters' reported earnings should be positive, as should be the case with the last reported quarter.
Headquartered in Houston, TX, Gulfmark Offshore fulfills all these criteria and was thereby added to the S&P SmallCap 600 GICS Oil & Gas Equipment & Services Sub-Industry index. The company's vessels carry drilling material, supplies and personnel to offshore facilities, apart from moving and positioning drilling structures. A significant portion of its operations are international. On Jul 21, 2014, its active fleet included 75 owned vessels and 4 managed vessels.
Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.
About Zacks Equity Research
Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.
Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.
Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today.
Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978. The later formation of the Zacks Rank, a proprietary stock picking system; continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros.
Follow us on Twitter: http://twitter.com/zacksresearch
Join us on Facebook: http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts
Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.
SOURCE Zacks Investment Research, Inc.
SYS-CON Events announced today that Tintri Inc., a leading producer of VM-aware storage (VAS) for virtualization and cloud environments, will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Tintri VM-aware storage is the simplest for virtualized applications and cloud. Organizations including GE, Toyota, United Healthcare, NASA and 6 of the Fortune 15 have said “No to LUNs.” With Tintri they mana...
Sep. 26, 2016 11:45 PM EDT Reads: 2,740
Major trends and emerging technologies – from virtual reality and IoT, to Big Data and algorithms – are helping organizations innovate in the digital era. However, to create real business value, IT must think beyond the ‘what’ of digital transformation to the ‘how’ to harness emerging trends, innovation and disruption. Architecture is the key that underpins and ties all these efforts together. In the digital age, it’s important to invest in architecture, extend the enterprise footprint to the cl...
Sep. 26, 2016 10:45 PM EDT Reads: 409
SYS-CON Events announced today the Kubernetes and Google Container Engine Workshop, being held November 3, 2016, in conjunction with @DevOpsSummit at 19th Cloud Expo at the Santa Clara Convention Center in Santa Clara, CA. This workshop led by Sebastian Scheele introduces participants to Kubernetes and Google Container Engine (GKE). Through a combination of instructor-led presentations, demonstrations, and hands-on labs, students learn the key concepts and practices for deploying and maintainin...
Sep. 26, 2016 10:00 PM EDT Reads: 2,671
Cognitive Computing is becoming the foundation for a new generation of solutions that have the potential to transform business. Unlike traditional approaches to building solutions, a cognitive computing approach allows the data to help determine the way applications are designed. This contrasts with conventional software development that begins with defining logic based on the current way a business operates. In her session at 18th Cloud Expo, Judith S. Hurwitz, President and CEO of Hurwitz & ...
Sep. 26, 2016 09:45 PM EDT Reads: 2,993
In his keynote at 18th Cloud Expo, Andrew Keys, Co-Founder of ConsenSys Enterprise, provided an overview of the evolution of the Internet and the Database and the future of their combination – the Blockchain. Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life sett...
Sep. 26, 2016 08:45 PM EDT Reads: 3,388
Fifty billion connected devices and still no winning protocols standards. HTTP, WebSockets, MQTT, and CoAP seem to be leading in the IoT protocol race at the moment but many more protocols are getting introduced on a regular basis. Each protocol has its pros and cons depending on the nature of the communications. Does there really need to be only one protocol to rule them all? Of course not. In his session at @ThingsExpo, Chris Matthieu, co-founder and CTO of Octoblu, walk you through how Oct...
Sep. 26, 2016 08:45 PM EDT Reads: 2,157
Fact is, enterprises have significant legacy voice infrastructure that’s costly to replace with pure IP solutions. How can we bring this analog infrastructure into our shiny new cloud applications? There are proven methods to bind both legacy voice applications and traditional PSTN audio into cloud-based applications and services at a carrier scale. Some of the most successful implementations leverage WebRTC, WebSockets, SIP and other open source technologies. In his session at @ThingsExpo, Da...
Sep. 26, 2016 08:30 PM EDT Reads: 1,591
SYS-CON Events announced today that ReadyTalk, a leading provider of online conferencing and webinar services, has been named Vendor Presentation Sponsor at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. ReadyTalk delivers audio and web conferencing services that inspire collaboration and enable the Future of Work for today’s increasingly digital and mobile workforce. By combining intuitive, innovative tec...
Sep. 26, 2016 08:00 PM EDT Reads: 2,898
SYS-CON Events announced today that Secure Channels will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. The bedrock of Secure Channels Technology is a uniquely modified and enhanced process based on superencipherment. Superencipherment is the process of encrypting an already encrypted message one or more times, either using the same or a different algorithm.
Sep. 26, 2016 05:15 PM EDT Reads: 1,598
Vidyo, Inc., has joined the Alliance for Open Media. The Alliance for Open Media is a non-profit organization working to define and develop media technologies that address the need for an open standard for video compression and delivery over the web. As a member of the Alliance, Vidyo will collaborate with industry leaders in pursuit of an open and royalty-free AOMedia Video codec, AV1. Vidyo’s contributions to the organization will bring to bear its long history of expertise in codec technolo...
Sep. 26, 2016 05:15 PM EDT Reads: 2,616
Traditional on-premises data centers have long been the domain of modern data platforms like Apache Hadoop, meaning companies who build their business on public cloud were challenged to run Big Data processing and analytics at scale. But recent advancements in Hadoop performance, security, and most importantly cloud-native integrations, are giving organizations the ability to truly gain value from all their data. In his session at 19th Cloud Expo, David Tishgart, Director of Product Marketing ...
Sep. 26, 2016 05:00 PM EDT Reads: 1,838
SYS-CON Events announced today that Bsquare has been named “Silver Sponsor” of SYS-CON's @ThingsExpo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. For more than two decades, Bsquare has helped its customers extract business value from a broad array of physical assets by making them intelligent, connecting them, and using the data they generate to optimize business processes.
Sep. 26, 2016 05:00 PM EDT Reads: 2,729
If you’re responsible for an application that depends on the data or functionality of various IoT endpoints – either sensors or devices – your brand reputation depends on the security, reliability, and compliance of its many integrated parts. If your application fails to deliver the expected business results, your customers and partners won't care if that failure stems from the code you developed or from a component that you integrated. What can you do to ensure that the endpoints work as expect...
Sep. 26, 2016 04:30 PM EDT Reads: 1,622
Digitization is driving a fundamental change in society that is transforming the way businesses work with their customers, their supply chains and their people. Digital transformation leverages DevOps best practices, such as Agile Parallel Development, Continuous Delivery and Agile Operations to capitalize on opportunities and create competitive differentiation in the application economy. However, information security has been notably absent from the DevOps movement. Speed doesn’t have to negat...
Sep. 26, 2016 04:30 PM EDT Reads: 2,125
The Transparent Cloud-computing Consortium (abbreviation: T-Cloud Consortium) will conduct research activities into changes in the computing model as a result of collaboration between "device" and "cloud" and the creation of new value and markets through organic data processing High speed and high quality networks, and dramatic improvements in computer processing capabilities, have greatly changed the nature of applications and made the storing and processing of data on the network commonplace.
Sep. 26, 2016 04:15 PM EDT Reads: 1,038